Many delegations drew attention to the continuing volatility of primary commodity prices and to the fact that in real terms commodity prices are still lower today than they were some 20 years ago.

Commodity prices are like this.

Why Are Commodity Prices Falling?

Of course, technological advances, like hydraulic fracturing ( fracking ) in the shale gas industry, could increase supply and therefore lower prices. But mounting environmental challenges, and the limited availability of commodity substitutes, suggest that a reprieve on commodity prices is not near.

The Silver Lining in High Commodity Prices

The volatility of commodity prices poses a serious risk for the sustainability of growth, and better international coordination is required to reduce the instability of commodity prices and exchange rates.

Other emerging markets growth prospects are even worse not least because of low commodity prices. As a result, these countries can expect lower capital inflows, again making for weak local currencies.

I've looked to see what is the relationship between higher commodity prices of exports, and the growth of commodity exporting countries.

Eventually, lower commodity prices and lower inflation will act like a huge tax cut for households, allowing interest rates to fall further and thus stabilize economic activity. Paradoxically, the faster oil prices now fall, the shorter the subsequent period of deflation will be, as further damage to the economies of industrial countries is avoided.

Thus, even though the United States and Japan will not be raising interest rates anytime soon, lower foreign rates still make the dollar and yen relatively more attractive. Commodity prices will continue to be soft, pulling down commodity currencies, and bolstering the yen especially, since resource poor Japan is so reliant on commodity imports.

Recognizing that commodity prices are an important element for heavily indebted poor countries that are commodity dependent in maintaining long term debt sustainability,

(v) systematically link debt repayment and debt servicing by commodity dependent developing countries to adverse movements in prices of commodity exports and imports

Also, growth could be brought to an abrupt halt by falling world commodity prices.

It is premature, however, to say whether the recovery in commodity prices has peaked.

In particular, the volatility of food and commodity prices, including petroleum prices, is seriously denting the financing capacity of many poor countries.

Weaker international commodity prices, aggravated by significantly reduced demand from Asia and elsewhere, are anticipated to weaken economic growth in commodity exporting developing countries.

1. Notes the need of the developing countries, in particular the commodity dependent countries, for stable and more predictable commodity prices at remunerative levels

The dollar has also strengthened against the currencies of advanced country commodity exporters, like Australia and Canada, and those of many emerging markets. For these countries, falling oil and commodity prices have triggered currency depreciations that are helping to shield growth and jobs from the effects of lower exports.

For most non oil exporting developing countries, the improvement in commodity prices stimulated 2004 growth, outweighing the negative effects of higher oil prices.

SEOUL The commodity super cycle in which commodity prices reach ever higher highs, and fall only to higher lows is not over. Despite the euphoria around shale gas indeed, despite weak global growth commodity prices have risen by as much as 150 in the aftermath of the financial crisis.

Further, studies suggest that owing to concentration in the structure of international commodity markets, commodity producers are less likely to benefit from increases in international commodity prices at the wholesale and retail levels.

But, though inflation is very low, and even negative in a few countries, something more must be going on, because commodity prices are falling relative to the overall price level. In other words, real commodity prices are falling.

3. Notes the need expressed by developing countries, in particular the commodity dependent developing countries, for stable and more predictable commodity prices, in the face of instability and decline in real terms of the prices of many commodities

1. Notes the need of the developing countries, in particular the commodity dependent developing countries, for stable and more predictable commodity prices in the face of instability and decline in real terms of the prices of many commodities

As a result of higher commodity prices and lower income from exports, those States, which were net importers of oil, minerals and other essential commodities, would face deteriorating terms of trade on a long term basis.

33. We emphasize the need to address the impact of weak and volatile commodity prices and support the efforts of commodity dependent countries to restructure, diversify and strengthen the competitiveness of their commodity sectors.

Sky high commodity prices, rock bottom dollar interest rates, and ample international liquidity are what Chile hopes for in the rest of the world they are also precisely what Chile got since 2010. Unsurprisingly, growth was swift until late last year, when the combination of the US Federal Reserve s gradual exit from quantitative easing and lower commodity prices worldwide caused a swift deceleration in economic activity.

UNCTAD (1995c). The Uruguay Round and international commodity trade and prices , TD B CN.1 30.

1. The economic recovery which began in Africa in 1994 has proved to be fragile owing inter alia to lower commodity prices and more recently the effects of a slowdown in the world economy as a whole.

Also recognizing the need for a better functioning of commodity markets and the necessity of stable and more predictable commodity prices, including searching for long term solutions,

Keeping prices of unleaded fuel low encourages lower consumption of leaded fuel.

Moreover, it intensifies competition, resulting in better product quality and lower prices.

Savings in import management costs lower quoted prices for imports and lower transport, transit, warehousing, storage and stock management costs

Hunger is a complex problem, exacerbated by financial pressures, volatile commodity prices, natural disasters, and civil wars.

1. During 1985 1997, primary commodity prices experienced one of the least favourable trends in recent decades.

Consumer demand has been the main factor responsible for lower prices in retailing.

(b) The continuation of the trend towards lower prices for international telecommunications services

This recalls a familiar historical pattern. Falling real (inflation adjusted) interest rates in the 1970s, 2002 2004, and 2007 2008 were accompanied by rising real commodity prices sharp increases in US real interest rates in the 1980s sent dollar commodity prices tumbling.

Even the one factor that has effectively increased disposable incomes and augmented demand sharply declining commodity prices, particularly for fossil fuels is ultimately problematic. Indeed, for commodity exporting countries, the fall in prices is generating fiscal and economic headwinds of varying intensity.

CAMBRIDGE The prices of hydrocarbons, minerals, and agricultural commodities have been on a veritable roller coaster. While commodity prices are always more variable than those for manufactured goods and services, commodity markets over the last five years have seen extraordinary, almost unprecedented, volatility.

That is not a forecast about how commodity prices go it's a forecast of the consequences, the long term consequences, for growth of an increase in prices.

The economies of the ESCWA member countries grow largely from without , driven by commodity prices and political tensions.

With regard to commodity prices it was suggested that income, rather than price, fluctuations are the real problem.

GM crops also have significant economic benefits. Higher yields and lower production costs have reduced global commodity prices (corn, soybeans, and derivatives), resulting in higher farm income, enhanced supplies of food and feed products, and more readily available high quality calories.

There are a number of reasons for the constraints encountered by African countries in the global economy, such as lower commodity prices, lack of diversification, insufficient access to markets in developed countries, the unsustainable debt burden and declining official development assistance.